Hormel Foods Corporation Monday announced the closing of its acquisition of Applegate Farms, LLC, owner of the Applegate brand.

The purchase price is approximately $775 million. Including estimated deal costs and fair value adjustments, the deal is projected to be neutral to Hormel Foods earnings per share in fiscal 2015 and accretive by approximately 7 to 8 cents per share in fiscal 2016.

The 2015 annual sales for Applegate are expected to be about $340 million. Hormel Foods expects this acquisition to be accretive to company growth targets.

Applegate carries natural and organic value-added prepared meats. As a growing number of consumers choose natural and organic products, this purchase provides Hormel Foods and the Applegate brand a faster path to expanded offerings in this high-growth category. Applegate will operate autonomously as a stand-alone subsidiary in the company’s Refrigerated Foods segment.